CREDS 4.2 Shares
Maximum shareholdings
- (1)
A credit union2 must not permit a member to have or claim any interest in the total non-deferred shares2 of the credit union2, exceeding the greater of:1
1222- (a) 2
- (b)
1.5 per cent of the total non-deferred shares in the credit union.12
2
- (2)
[deleted]2
1
Where:
- (1)
there is an increase in the percentage of the total non-deferred shares in the credit union held by a member; and
- (2)
this is the result of a reduction in the total non-deferred shares in the credit union occurring after the time at which that member last acquired shares, or an interest in the shares, of the credit union, other than deferred shares;
that increase in the percentage of the total non-deferred shares in the credit union held by that member must be disregarded for the purposes of the limits in CREDS 4.2.1 R (2) and CREDS 4.2.5 R.
CREDS 4.2.2 R makes it unnecessary for a member to reduce his shareholding merely because of a reduction in the total non-deferred shares in the credit union.
Joint accounts
There is no restriction on the number of members who may jointly hold shares in a credit union.2
- (1)
For the purpose only of the limits 2in CREDS 4.2.1R (1), CREDS 7.3.2 R and CREDS 7.3.6 R the interest of a member in a joint account must be treated as the percentage represented by that individual member as a percentage of the total number of members holding an interest in the joint account.2
212 - (2)
[deleted]2
2